Security

What Does a Bull Market Refer To?

A bull market is also known as a long market. It is when investors are bullish on the stock market and expect the stock price to be bullish, so they buy stocks at low prices and sell them when they rise to a certain price in order to gain the difference. Generally speaking, a stock market in which share prices maintain their upward momentum over a long period of time is usually referred to as a bull market. The main characteristic of a bull market is a series of large rallies and small declines in share prices.

What are the characteristics of a bull market?
In fact, in the eyes of many investors, when everyone says it is a bull market it is a bull market, but in fact, there are many distinctive features of a bull market. The first is reflected in the volume of the market above, the stock market up and down need to rely on capital to promote, so, in a bull market is bound to need a large number of funds together to promote the rise of the index, from the historical situation, the average daily turnover exceeds trillion, often accompanied by the stock market to accelerate the top. In the midst of a bull market, the volume of the stock market will gradually increase or decrease, and as the market index moves higher, the volume is significantly higher, even reaching new highs. The arrival of a bull market is also marked by technical indicators that show a unilateral rise, or an index that continues to make new highs amidst volatility. The rise of the market in a bull market must be inseparable from the financial section and the pull-up of the cyclical plate, the financial section contains banks, insurance, brokerage and other traditional financial industries, the cyclical plate includes real estate, coal, steel and so on. When there are these sectors in the market in turn to drive the index up, it is very obvious bull market.


Of course, there is a very intuitive performance, that is, market sentiment, bull market, investor sentiment is unusually high, when you find more and more people around to start talking about stocks, friends can be seen everywhere about the stock market views, and even suddenly a lot of friends who never bought stocks before also began to buy stocks, visible, is a very obvious bull market. Plunges are bound to be followed by larger pullbacks, and short-term surges can easily face large retracements, so the more we are in a bull market, the more vigilant we must be and pay attention to controlling our positions.

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